Without a winning business plan, your new organization could close within the first two years of launching. Companies that plan before starting a business have a 30% greater chance of growth and success. Shockingly, most businesses don’t see the importance of a business plan and soon fail.
The truth is we’re in a wave where everyone is starting a business/company; what separates real businesses and those that are just loosely dipping their feet is an actual business plan. A business plan shows all interested parties — employees, investors, partners, and yourself — that you are committed to building the business.
Creating your plan forces you to think through and select the strategies that will propel your growth.
Keep reading to find out how to create a strong business plan and how to get further professional assistance.
What is a Business Plan?
A business plan is a detailed document that helps a startup company define their goals and objectives. The document will also describe how a company plans to achieve its goals and the potential risks that could hinder its success.
Essentially, a winning business plan provides clarity on a company’s target market and competitors. Additionally, the document is sometimes used to get organizations to invest in a startup or to apply for a business loan.
Why is it Important to Write a Winning Business Plan?
The purpose of a business plan is to create an effective strategy that will boost business growth. It also helps you determine your financial needs. Without a business plan, you won’t be able to attract potential investors and you may not reach business milestones.
Other risks of not having a winning business plan include:
- – Leadership differences
- – Short-term thinking or planning
- – Lack of financial forecasting
- – Complacency of stakeholders
- – Lack of knowledge on target markets
- – Poor marketing strategies
20% of businesses fail within the first two years and this could be because of a lack of planning. With a strong business plan, you will have clarity on financial risks and opportunities, and you’ll learn more about your market.
Top Tips to Write a Winning Business Plan
Don’t become part of the statistics of businesses that fail! If you have a winning business plan, you’ll have access to many possibilities! Here are tips to write your winning business plan.
Concentrate on The Format
Before writing your business plan, consider the format of the document. You don’t want your information to be muddled up because it will be confusing to read. Your business plan should have the following format in this exact order:
- 1. Executive summary
- 2. Business description
- 3. Market analysis
- 4. The description of the proposed operational structure
- 5. A product or service description
- 6. Pitch to raise capital
The document should also look professional so avoid using bright colors and extra elaborate fonts. There are business plan templates that you can customize for a more professional look.
Executive Summary
The executive summary is the most important part of your winning business plan. This section should be the first piece of content people see when they read your document.
Essentially, an executive summary is a brief introduction of your business plan and an overview of the larger points in your document. Your executive summary should include:
- – Mission statement
- – Company history and leadership
- – Overview of competitive advantages
- – Financial forecast
- – Your business goals
The points will be explained in more detail throughout your document so keep your executive summary concise but informative.
Your Market
This section will detail your market opportunities such as finding a gap in the industry and how you can fill it. In this section, you can provide more detail on your market size, current or potential market shares, trends in the industry and consumer behavior.
You should also show how you intend to fill this gap with your products or services. To understand your market, you’ll need to do extensive research so you can understand the needs and wants in your industry.
Competitors
The industry you decide to go into may have massive competition from large corporations. Before starting your business, you’ll need to do extensive research on your competition. The competition you face may have a significant impact on your sales and revenue.
You’ll want to know why your customers may choose one business over another. When you analyze your competitive landscape, you’ll find out important information such as:
- – Industry trends that your competitors aren’t taking advantage of.
- – Your competitors’ strengths and weaknesses.
- – What innovative positions you can bring to the market.
Know Your Target Audience
A target audience is a particular group to which your products and services are aimed. Your winning business plan gives you the opportunity to gather information about your target audience so you can find out:
- – What type of people will most likely buy your products or services?
- – What your target audience’s needs and wants are.
- – How your business could be valuable to them.
- – What their social status is.
- – What are their opinions, attitudes and beliefs?
- – What they value.
You must know every detail about your target audience so that you don’t target the incorrect market.
What’s Your Marketing Strategy?
In this section of your winning business plan, you’ll provide extensive detail on how you’ll market your business. You’ll need a strong marketing strategy to attract more leads, boost your sales and increase brand awareness.
Ensure you provide details about the channels and distribution tactics you’ll use. Furthermore, you should provide details on the metrics you’ll use to measure your success.
Financial Information
If you want to attract investors, then the financial section of your business plan will be crucial. In the financial section, you’ll need to determine investment opportunities and funding strategies. There are three main sections to include:
- – Balance sheets
- – Cash flow statements
- – Profit or loss statements
You can explain your financial information in more detail using a combination of paragraphs and graphs.
Verdict – Get Professional Assistance
Struggling to write a professional and informative business plan? Launching your own startup is difficult enough! That’s why Daveron Networking offers you the professional assistance you need to plan accordingly.
We offer unique solutions to help you create an elaborate business plan that works to help you establish the set business milestones, better understand your competition and customers, assess the feasibility of your venture, attract investors, attract employees and management team that are aligned to the vision of your business, reposition your business to deal with changing conditions and business your brand as an authority in today’s changing times..
Ready to grow your business? Speak to our growth experts and learn how to expand your customer base, drive revenue growth, and optimize your business operations.
